Fourteen House Democrats from cotton states signed on to a letter to Speaker Nancy Pelosi expressing the importance of including the entire cotton supply chain in the next relief package. This letter was led by Representative David Scott of Georgia’s 13th district and Representative TJ Cox of California’s 21st district.
Category: News
News from the American Cotton Shippers Association
Nate Kauffman Updates CFTC’s Ag Advisory Committee on the Financial Status of U.S. Agriculture
In a report to CFTC’s Ag Advisory Committee, Nate Kauffman of the Federal Reserve Bank of Kansas City updated the committee on the financial status of agriculture in the United States. Demonstrating a downturn in farm income and liquidity since 2013, Kauffman reviewed the strength and resilience of farm real estate supporting balance sheets in every Federal Reserve District. See Mr. Kauffman’s slides below.
AMS Summit for ACSA Members
USDA’s Agricultural Marketing Service (AMS) will be hosting four informative session for ACSA members regarding data collection, Cotton Marketing News, and more. Please see dates and details below.
Mississippi State University’s Overview of CFAP 2
Problem Solvers Caucus COVID-19 Proposal
There are eight major buckets of the proposal.
- Testing & Health Care ($100 billion)
- $25 billion testing – 3 million tests a day
- $75 billion health care providers – relief released in CARES Act (health care provider community – forgives advanced Medicare reimbursement $45 million
- Direct Assistant/Support for Individuals and Families ($316 billion)
- $280 billion stimulus
- Adult dependents would be eligible
- Same restrictions on income
- Plus up on WIC, SNAP
- Stabilize rental and mortgage market $25 billion
- Student loan forbearance through December 31st
- $280 billion stimulus
- UI assistance ($120 billion)
- 100% of income based on 2019 income – but we can go up to $600 for that support
- 8-week transition period – during that time the plus up will be $450 across the board
- 13 weeks going through Jan 2021
- Another 13 weeks may get triggered
- Small Businesses Support ($290 billion)
- PPP $240 billion to SBA
- Simplified loan forgiveness
- Full transparency
- $11 billion carved out for CDFIs
- $50 billion for EIDL
- $50 billion targeted ERTC
- Continued support for the Main Street Lending Program
- PPP $240 billion to SBA
- Schools and Child Care ($145 billion)
- Use these dollars for all kinds of things
- $15 billion childcare (30% of annual child care sector revenue)
- Block grants
- Dollars for provider relief (child care centers who can return to full capacity)
- $100 billion K-12 lha
- $30 billion higher education
- State and Local Aid ($500 billion)
- $130 hard past COVID-19 expenses
- $130 hard forward looking COVID-19 expenses
- $250 revenue shortfalls at local
- $130 – already exists CARES Act funds
- Election Aid ($400 million)
- Poll workers, temporary staffers, polling location PPE, etc.
- Miscellaneous
- $12 billion rural broadband hotspots, particularly under-served rural and urban areas
- $25 billion agriculture and aquaculture
- $15 billion USPS and reform of pre-funding requirement
- Move back timelines on census
- Liability protections- good-faith companies should not deal with frivolous lawsuits
- Robust enforcement of worker safety
Automatic Booster and Reducers
- $1.5 trillion to $2 trillion if needed
- Down to $1.3 trillion if not
- Fact based and evidenced based
- Metrics to determine if booster or reducer trigger:
- Hospitalization numbers
- Availability of vaccine
Notes
- No additional paid leave
Yuan Associates-Latest Situation of China’s Textile Mills
The Industry Advisory Group (IAG) of the IPPC ePhyto Solution Calls on Governments to Support the Adoption of the ePhyto to Facilitate International Agriculture Trade
McConnell Announces Senate Will Vote on Targeted COVID-19 Relief
On September 8th, U.S. Senate Majority Leader Mitch McConnell (R-KY) stated that the Senate will likely vote on the targeted COVID-19 relief package as soon as this week. See the Senate GOP targeted relief package below.
Cotton Loan Forfeiture Charges/Procedures for ELS Cotton
Based on recent discussions with USDA officials, there are important clarifications on the charges or fees a producer is responsible for when warehouse-stored Pima cotton is forfeited to USDA. In general, the calculations on cotton forfeiture charges are the same for both Pima and upland cotton. If Pima cotton is forfeited to USDA, the producer is only responsible for paying the difference in the Cotton Storage Agreement (CSA) storage rate for the warehouse and the USDA storage credit for the time the cotton is under loan, not the full storage costs for the time the cotton is under loan. For anytime the cotton is not under loan, the producer is responsible for paying the full warehouse storage rate.
